CAMP HILL, Pa. (AP) — Drugstore chain Rite Aid Corp.'s revenue from established locations rose 1.9 percent last month despite a slump in sales outside store pharmacies.
The Camp Hill, Pa., company said Thursday that pharmacy revenue from stores open at least a year climbed 3.1 percent, while sales from the front-end, or area outside the pharmacy, slipped less than 1 percent.
Revenue from stores open at least a year — or same-store sales — is considered a key indicator of a retailer's health because it leaves out the potentially distorting results from locations that have opened or closed in the last year.
Rite Aid shares 4 percent in morning trading after rising to their highest level in more than 5 years earlier.
Prescriptions accounted for more than 68 percent of drugstore sales and their revenue grew despite another hit from generic drug growth. An influx of cheaper generic equivalents to brand-name medicines has hurt revenue for Rite Aid and other drugstore chains for several quarters now. But the generics also help drugstore earnings because they come with a wider margin between the price the pharmacy pays to buy them and the reimbursement it receives for doling them out.
Outpatient ROBOTIC HYSTERECTOMY. Trust an experienced Robotic Surgeon.